Wednesday, August 06, 2003

Want to Get Into Wi-Fi?

But when it comes to hot spots, the biggest issue is whether there's actual revenue being generated from the networks built on steep investments. According to a recent study by Dallas-based technology market research firm Parks Associates, 30 percent of Internet households polled had heard of hot spots but were not familiar with them, 33 percent were familiar with but had never used hot spots, 2.5 percent had used them but were not subscribers, and a mere 0.1 percent were hot spot service subscribers. So although mobile warriors may be adopting the service in their travels, finding subscribers beyond that market could be a challenge.

.... Michael Cai, author of the Parks Associates study, agrees: "[The celcos] are interested in seeing how their strategy really plays out, so if they get very good results this year based on the hot-spot projects, then starting next year they might put more effort and investment into the project."

.... Plus, the numbers cited in the Parks Associates study aren't quite as dire as they appear at first glance, says Cai, noting that at least 60 percent of those surveyed had at least heard of hot spots. "That's not bad at all, considering the low marketing campaigns," he says, adding that in order for hot spots to really take off beyond just road warrior usage, there needs to be more standardized service, and prices need to come down.

From the article "Want to Get Into Wi-Fi?", by Gisela M. Pedroza

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